Page 98 - Agriculture Policy Wording Binder

Business All Risks
Damage to wine tanks in the open
Damage to wine tanks in the open is covered;
PROVIDED THAT:
1. all taps of the wine tanks in the open are equipped with a casing which must be locked at all times when not in use
2. the Insured shall be responsible for the first 10% (ten percent) of the claim with a minimum of R1 000 (one thousand rand) in respect of each and every claim.
Replacement value (excluding wine tanks, barrels and containers)
The basis upon which the amount payable is to be calculated shall be either:
1. the replacement of the property, excluding wine tanks, -barrels and/or – containers being lost, destroyed or damaged, by similar property in a condition equal to, but not better nor more extensive than, its condition when new; or
2. the repair of the property to a condition substantially the same as, but not better than, its condition when new;
PROVIDED THAT:
if, at the time of replacement or repair, the sum representing the cost which would have been incurred in replacement if the whole of the property had been lost, destroyed or damaged beyond repair exceeds the sum insured thereon at the commencement of the loss or damage, then the Insured shall be considered as being their own insurer for the difference and shall bear a rateable proportion of the loss accordingly.
OPTIONAL CLAUSES AND EXTENSIONS (if stated in the Schedule to be included) Contamination of milk
Notwithstanding anything to the contrary stated in this Section or Policy wording, it is agreed that the Company will indemnify the Insured for any direct financial loss incurred by the Insured resulting from:
1. the destruction, deterioration, contamination, non-purchase or non-collection of raw milk by a commercial purchaser(s) due to the presence of inhibitors in the milk exceeding the maximum allowable levels
2. deterioration or contamination of raw milk contained in any refrigeration unit or freezer the property of the Insured caused by:
2.1 accidental, unforeseen and sudden physical damage to any of the refrigeration machinery;
2.2 failure of water or gas or electricity supply to the Insured’s premises unless such failure is due to the exercise of an authority empowered by law to supply water, gas or electricity of its power to withhold or restrict supply unless such withholding or restriction is directly attributable to damage to property of such authority;
PROVIDED THAT:
The basis of settlement shall be determined as follows:
1. in respect of Insured Event 2.1 above
the contract price per liter of raw milk multiplied by the number of liters of milk destroyed, not purchased or not collected;
2. in respect of Insured Event 2 above
the contract price per liter of raw milk multiplied by the number of liters of milk deteriorated less the value of any such milk used by the Insured for any other purpose whatsoever;
PROVIDED FURTHER THAT:
the Company shall not be liable for:
1. loss of or damage to milk resulting from or caused by:
1.1 the dishonesty of any principal, partner, director or employee of the Insured
Page | 96 Policy Wording – Agriculture – Binder – Version 2 2023